Opinion
02 Civ. 1151 (CBM)
November 7, 2002
MEMORANDUM OPINION ORDER
The court is in receipt of plaintiff's letter, dated October 30, 2002, addressing the issue of the application of the doctrine of collateral estoppel to the above-captioned case, and defendant's written response thereto.
The court reminds the parties that, at the October 29, 2002 hearing on defendant's motion to dismiss, the court did not question the parties about the application of the doctrine of collateral estoppel, or issue preclusion, to the instant case. Rather, the court noted its concern that the doctrine of res judicata, or claim preclusion, might apply to plaintiff's claim concerning the use of the "Quilted Hearts" fabric design in dolls, and questioned the parties accordingly.
It is well-settled that the failure of a defendant to raise the issue of res judicata "does not deprive a federal court of the power to dismiss a claim on that ground." Salahuddin v. Jones, 992 F.2d 447, 449 (2d Cir. 1993). As Chief Judge Mukasey observes: "[A] court may consider the issue of res judicata sua sponte, assuming the court has all of the relevant data and legal records." Fernicola v. Specific Real Property in Possession, 2001 WL 1658257, fn.5 (S.D.N.Y.) (citing Salahuddin, 992 F.2d at 449).
The goal of the doctrine of claim preclusion is to "encourage reliance on judicial decisions, bar vexatious litigation, and free the courts to resolve other disputes." Brown v. Felsen, 442 U.S. 127, 131 (1979) (superseded on other grounds by the Bankruptcy Code). The policies underlying the doctrine of claim preclusion may be implicated in the present action with respect to plaintiff's infringement claim as to the fabric. The parties should be given the opportunity to address this issue in writing.
In light of the foregoing, the parties are hereby ORDERED to file supplemental briefs addressing the narrow question of whether plaintiff's claim as to the fabric design ought to be precluded pursuant to the doctrine of res judicata. The parties' briefs, which shall not exceed ten pages in length, must be filed with the court by December 4, 2002.